Published on 10/6/2016 in the Prospect News High Yield Daily and Prospect News Investment Grade Daily.
New Issue: Western Gas sells $200 million 5.45% notes due 2044 at 280 bps over Treasuries
By Cristal Cody
Eureka Springs, Ark., Oct. 6 – Western Gas Partners, LP priced a $200 million tap of its split-rated 5.45% senior notes due April 1, 2044 at 102.776 to yield 5.256% on Thursday, according to an FWP filing with the Securities and Exchange Commission.
The notes (Ba1/BBB-/BBB-) priced with a spread of Treasuries plus 280 basis points.
Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, Credit Suisse Securities (USA) LLC, MUFG, SG Americas Securities, LLC, UBS Securities LLC and U.S. Bancorp Investments, Inc. were the lead managers.
The company originally sold $400 million of the notes on March 11, 2014 at 98.443 to yield 5.557% and a spread of Treasuries plus 185 basis points. The total outstanding is $600 million.
Proceeds will be used to repay borrowings outstanding under the company’s revolving credit facility, and any remaining proceeds will be used for general partnership purposes.
The Woodlands, Texas-based company owns, develops and operates midstream energy assets in the United States.
| Issuer: | Western Gas Partners, LP
|
| Amount: | $200 million reopening
|
| Description: | Senior notes
|
| Maturity: | April 1, 2044
|
| Bookrunners: | Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, Credit Suisse Securities (USA) LLC, MUFG, SG Americas Securities, LLC, UBS Securities LLC, U.S. Bancorp Investments, Inc.
|
| Co-managers: | BMO Capital Markets Corp., Comerica Securities, Inc., DNB Markets, Inc., Scotia Capital (USA) Inc.
|
| Coupon: | 5.45%
|
| Price: | 102.776
|
| Yield: | 5.256%
|
| Spread: | Treasuries plus 280 bps
|
| Call feature: | Make-whole call before Oct. 1, 2043 at Treasuries plus 30 bps; on or after Oct. 1, 2043 at par
|
| Trade date: | Oct. 6
|
| Settlement date: | Oct. 18
|
| Ratings: | Moody’s: Ba1
|
| S&P: BBB-
|
| Fitch: BBB-
|
| Distribution: | SEC registered
|
| Original issue: | $400 million priced on March 11, 2014 at 185 bps over Treasuries
|
| Total outstanding: | $600 million
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
